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Asian markets conclude Friday’s trade on mixed note

01 Nov 2013 Evaluate

The Asian markets concluded Friday’s trade on a mixed note despite an official gauge of Chinese factory activity last month showed encouraging sign. Pressure is rising on China to show it can maintain a recent stabilization of economic growth after a worrying slowdown in the first half of the year. The HSBC China Manufacturing Purchasing Managers’ Index, a gauge of nationwide manufacturing activity rose to a final reading of 50.9 in October, a seven-month high, from 50.2 in September. A reading below 50 indicates a contraction in manufacturing activity from the previous month, whereas a reading above indicates expansion. Output at manufacturing plants in China increased for the third consecutive month in October, and at the quickest pace since April. The expansion of output reflected stronger demand both at home and abroad, with new orders and new export orders rising at faster rates in October.

South Korea’s exports rose sharply in October due to a jump in overseas demand, after shrinking in the preceding month. Exports in October rose a much better-than-expected 7.3% from a year earlier to $50.511 billion, following a 1.5% decline in September. Imports gained 5.1% on year to $45.612 billion in October. The October trade surplus of $4.899 billion surpassed the projection of a $4.32 billion surplus. The trade balance has been in the black since February 2012. Indonesia’s trade deficit narrowed in the third quarter as imports fell back due to slowing domestic demand and a weakening rupiah. The country posted a trade deficit of $2.9 billion in Q3, less than the $3.1 billion posted in the April to June period. Inflation eased slightly in October as food and clothing prices edged down. The consumer price index advanced by 8.3 percent last month, after climbing 8.4 percent a month earlier. This was the second month inflation had fallen back after peaking at 8.8 percent in August following the cut in the government’s fuel subsidy.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2149.56

7.95

0.37

Hang Seng

23249.79

43.42

0.19

Jakarta Composite

4432.59

-78.04

-1.73

KLSE Composite

1810.41

3.56

0.20

Nikkei 225

14201.57

-126.37

-0.88

Straits Times

3201.20

-9.47

-0.29

KOSPI Composite

2039.42

9.33

0.46

Taiwan Weighted

8388.18

-61.88

-0.73

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